The growing appeal of telecommuting - more corporations encouraging employees to work at home

Nation's Business, August, 1994 by Roberta Maynard

Why the private and public sectors are trying to have more employees stay out of the office.

For two decades or so, telecommuting, or teleworking, has been little more than an occasional exception to the rule. Supervisors have worked out informal arrangements with individual workers, usually because an employee has a particular need to work from a home office or other location for part or all of the work week.

But now the concept is gaining greater acceptance among employers as more companies--small and large--and state, local, and federal governments have begun to explore teleworking.

One motivation is the need to reduce traffic congestion and improve air quality. Amendments to the Clean Air Act are pressuring employers in some regions to limit employees' work-related use of vehicles. (See "Clean Air Act's Car-Pool Mandate," in the April issue.)

On the horizon, though, are other, more far-reaching goals. "I think that telecommuting is going to have a place in the future in solving fundamental societal problems that won't disappear," says Faith Wohl, director of the federal Office of Workplace Initiatives. "Workers' long commutes are robbing the country of productive time. That time can be put back into the community, the family, and other activities. Teleworking can help people simplify their complex lifestyles and reduce the stress caused by commutes that in some areas are as long as two hours each way."

A contributing factor to the growing interest in telecommuting is downsizing, which has companies focusing on saving money and reducing overhead. Large companies such as IBM are freeing up floors of expensive office space as they let workers produce results from other locations. Best Western, AT&T, Du Pont, Pacific Bell, American Express, and scores of other companies have developed telework programs in recent years.

Among local jurisdictions, Denver's city and county governments began a telework training program for their employees two years ago. Now, more than 150 government employees in Colorado work at home at least one day a week, or on a project basis.

Telework managers in Denver and elsewhere are encouraged by program results that show that teleworkers are at least as productive at home as they were at the office. Judy Rapp-Guadagnoli, manager of Denver's telecommuting program, says, "We've found that, rather than slacking off, they're more productive because they are working right there at their [home computers]." Teleworkers abide by managers' rules, she says, because they don't want to jeopardize their job situations.

In metropolitan Phoenix, a telework pilot program was launched in 1990 for employees of the regional transit authority. Since then, coordinators from 500 area businesses have been trained in developing their own telework programs. By 1993, 11 percent of the area's work force--some 100,000 workers--were telecommuting at least one day a week, resulting in a savings of about 1.8 million miles of travel daily, according to John Corbett, telework program administrator for the state of Arizona. In that area, teleworking has increased and is now second only to carpooling in frequency of use.

The Washington State Energy Office spent 18 months helping 25 companies set up telework programs. A result is a hands-on manual for businesses to use in implementing programs and training personnel. (To order the two-volume binder set, Telecommuting: An Alternative Route To Work, call the Energy Office at [206] 956-2055. The cost is $50.)

A significant trend began in Hawaii, where the first telework center was developed through a public-private joint venture. Telework centers--or telebusiness centers--have been established throughout the country to keep workers closer to home, thereby reducing their commuting to and from distant offices. Telecommuters use the centers to hold client meetings, do paperwork, complete reports, or make telephone calls.

Work space ranges from cubicles to private offices, which can sometimes be leased for as short as an hour. The centers are equipped with computers, modems, copiers, printers, and sophisticated phone service. Other services may include videoconferencing and secretarial support.

The federal government is exploring the advantages of telework centers through its new Office of Workplace Initiatives in the General Services Administration (GSA). With a $6 million authorization from Congress, the government has set up four pilot telework centers near Washington, D.C.

The program is aimed at improving the government's ability to recruit and retain employees, to improve employees' quality of life, and to reduce federal operating costs. It was initiated after a study of 700 federal workers nationwide who had telecommuted for a year showed signs of improved work performance and reduced use of sick leave.

The Los Angeles earthquake in January prompted the GSA to expand its telework program to the West Coast. Two weeks after the quake, the federal government set up three centers to provide work areas to employees who couldn't get to their offices because of damaged freeways.